The Senate Finance Committee met at 3:00 PM to discuss the West Virginia fiscal picture for 2020. Deputy Revenue Secretary Mark Muchow gave a presentation covering the expectations for state revenue growth for the coming year, as well as how West Virginia fiscal growth compares to surrounding states and the national average.
Overall, West Virginia revenue growth is expected to slow. One factor of this, Muchow explained, is the fact that major pipeline investments have been temporarily put on hold. However, counties and schools are benefiting from the pipeline property tax.
The forecast also included a downward shift in tax revenue on to
bacco products, largely due to the federal decision to increase the legal age of purchasing tobacco products to 21.
Lower natural gas prices are expected, and natural gas and energy productions are expected to increase more slowly.
Expectations for areas of job growth are expected to shift as well. Currently, construction and health care sectors are the leading job growth areas. Retail trade is expected to decline, but employment opportunities in e-commerce are expected to rise.
